The folks on Wall Street are busily dry-washing the hands in glee at the thought of a massive wave of European bank collapses.
Hyperbole, you say?
No, a statement of harsh, cold fact.
From the Sydney Morning Herald:
US investment bank Goldman Sachs sees a silver lining in the troubles of Europe’s banks, which may need to sell more than $US2 trillion ($A2.07 trillion) in assets, a top Goldman executive says.
European banks, pressed to bolster their capital cushions, are expected to dispose of $US607 billion in assets this year, the majority of them in soured debt, said Gary Cohn, president and chief operating officer of the prestigious Wall Street bank.
They could divest another $US243 billion in assets in 2013, and $US147 billion the following year, Cohn said at a Sanford Bernstein strategy conference in New York on Thursday.
According to Cohn, Europe’s total bank deleveraging could exceed $US2 trillion and Goldman Sachs is “well-positioned to intermediate these asset sales”.
“We believe that Europe and the growth markets will present compelling opportunities for the firm,” he said.
There’s some very deep games going on, and a very few very rich people will make billions profiting on the misery of millions.
That’s the way the game’s played.
Time for a change?